ETFs, or Exchange-Traded Funds, are a type of investment fund that trade on stock exchanges, much like individual stocks. They pool together money from many investors to buy a diversified portfolio of assets such as stocks, bonds, commodities, or other securities. ETFs are designed to track the performance of a specific index, sector, commodity, or other asset class.
ETFs are popular among investors because they offer an efficient and flexible way to diversify their portfolios without needing to buy individual securities.